SSE Thermal has announced its final investment decision (FID) to construct the 300MW Tarbert next-generation power station in County Kerry, Ireland.

The new power plant will operate entirely on sustainable biofuels and has the potential for conversion to hydrogen.

It aligns with SSE Thermal’s strategy to support Ireland’s electricity system and transition towards a low-carbon future.

SSE Thermal, a subsidiary of British energy firm SSE, plans to invest €300m ($312m) in the construction of the power station.

The Tarbert facility will utilise hydrotreated vegetable oil, a sustainable biofuel derived from 100% waste feedstocks.

Construction activities for the sustainable biofuel plant are already underway, with full-scale construction set to begin in 2025.

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The project is scheduled for completion by the end of 2027.

SSE Thermal secured planning consent from An Bord Pleanála in October 2024 after consultations with local stakeholders.

SSE Thermal has chosen Ansaldo Energia and Limerick-based Atlantic Projects Company (APC) as its primary partners for the project.

Ansaldo will provide the AE94.3A turbine and APC will deliver the balance of plant services.

SSE Thermal managing director Finlay McCutcheon stated: “This is a landmark moment for Tarbert, which has a proud history of energy generation dating back almost six decades.

“In taking this final investment decision, we are underlining our commitment to delivering the next generation of power at the site, supporting Ireland’s electricity system and laying the foundations for a low-carbon future.

“Our focus now shifts to the safe and timely construction of the Tarbert next-generation power station, working closely with our partners at Ansaldo Energia and APC to deliver this vital project.”

The decision follows the closure of the original Tarbert plant in 2023 due to environmental regulations.

SSE Thermal has completed a temporary emergency generation (TEG) project at the site, as requested by Irish authorities.

The 150MW TEG, which began operations in early February 2025, will cease operations no later than March 2028.

In April 2023, SSE Thermal was provisionally awarded ten-year contracts for two proposed power stations in Ireland.